Toll looks up with renewed agreements
The Toll Group has managed to keep a lucrative set of contracts, which will see it remain the prime mover for oil and gas producer Santos.
The company is looking at a nice bump for its bottom line with the expected renewal of $275 million worth of transport duties.
The contracts cover operations in South Australia, Western Australia, the Northern Territory and Queensland.
“The Santos contracts confirm Toll Energy as the leading provider of logistics support to Australia’s oil and gas industry, and extend a successful relationship that began in 2007,” Toll Global Resources CEO David Jackson said in a statement this week.
“It shows quality logistics support for remote and difficult locations is possible, and it should encourage other companies to invest in operations in central Australia.”
Toll will run linehaul, infield and national freight support for Santos’ exploration, drilling and production operations in South Australia’s Cooper Basin, as well as providing linehaul services in Western Australia, crude haulage at the Mereenie field in NT and continued support for the Gladstone liquefied natural gas (LNG) operations.
“We look forward to providing critical support as Santos continues to expand its Australian operations,” Jackson said.
Just last week Toll posted a drop in half-yearly profits it said was due to rough trading conditions.